125 years ago, the Dow Jones Industrial Average made its debut.
The index of the 12 chimney companies closed on its first trading day, May 26, 1896, 40.94. This included General Electric Co., as well as long-forgotten names such as American Cotton Oil and Distilling & Cattle Feeding.
Since then, the Dow has evolved with the U.S. economy to provide investors from Wall Street to Main Street with a measure of financial markets through the Great Depression, the Two World Wars, and all the events that shaped the 20th and early 21st centuries. Did.
According to Dow Jones market data, it rose an average of 7.69% each year, hitting a record closing price of 1,464. It exceeded 100 in 1906, 1000 in 1972, and 10000 in 1999. Just this year, the Dow surpassed all milestones from 31000 to 34000 as the US economy shook off the pandemic slowdown.
The rise involves many interruptions. There were 70 years with no record closing prices, including the period 1930-1953, as the stock market fell below its 1929 highs. In the four years of 1910, 1962, 1977 and 2008, the average closed on each trading day below the previous year-end level. One day in October 1987, the Dow plunged 22.6%. This is the only session worse than last March’s session, which fell 12.9% in coronavirus panic.
Dow Jones Industrial Average celebrates 125 years as Wall Street Bellweather
Source link Dow Jones Industrial Average celebrates 125 years as Wall Street Bellweather
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